Biden to Triple Tariffs on Chinese Steel and Aluminum
Trade Update • April 17, 2024
resident Joe Biden is set to significantly ramp up tariffs on steel and aluminum imports from China, proposing to triple (to 22.5 percent) the current rates (at 7.5 percent) under Section 301 of the Trade Act of 1974. This decisive action aims to protect American industries from what is perceived as unfair competition due to extensive state subsidies in China’s economy.
Supporting American Workers
This tariff increase is part of a broader effort to support American workers and industries by addressing global overcapacity issues, which are largely driven by China’s production practices. By implementing these higher tariffs, the administration seeks to mitigate the flood of cheaper imports and help stabilize the domestic market for these critical materials.
“It should remain a totally American company: American-owned, American-operated by American union steelworkers, the best in the world,” Biden said. “And that’s going to happen, I promise you.”
Biden also mentioned that his administration is collaborating with Mexico to stop China and other nations from circumventing Section 301 and 232 tariffs on steel and aluminum through transshipment. Additionally, since he took office, his administration has implemented over 30 antidumping and countervailing duty orders on steel-related products.
Strategic Debates Within the Administration
The decision reflects a broader internal policy debate on how to manage economic relations with China. While some in the administration have suggested lowering tariffs on certain goods to reduce inflationary pressures, the prevailing approach emphasizes the need for stringent measures to protect U.S. manufacturers from subsidized foreign competition.
Aligning Global Trade Policies
These tariff adjustments also align with a strategic goal of recalibrating international trade policies to better serve U.S. economic interests and uphold values of fair trade. The administration is focusing on ensuring that trade practices globally are equitable and support competitive neutrality, which is vital for maintaining a healthy U.S. industrial base.
For more comprehensive insights, you can access the more information through USA Today.
We can also assist, for questions or concerns about if your products are affected please contact us.
Subscribe!
